After yesterday’s fall in the stock market, investors are keeping an eye on fluctuations. As of 22nd November, Adani Enterprises Limited Shares looks struggling. Current prices are Rs 2099.45, Which shows a 3.86% drop today. This downtrend might be because of recent allegations and scrutiny issues in the company.
Adani Enterprises Share Price Today
Today Adani Enterprises Shares opened with Rs 2101. Then reached a high of Rs Rs 2200 as well. It also fell down to Rs 2025 once. But despite all these situations, the total volume of shares is still high. Active trading volume is more than 5.8 million and total market capitalization of Rs 242297 Crore. Which indicates strong investor sentiment even after the downtrend in the market.
Company Financials
Recently Adani Enterprises has reported its financials which shows a massive profit growth. As on now year on year growth stands above 76% which is positive for investors. But in recent days sales have declined by 44.7%. Which raises concerns about future earning and profit-making capabilities. As per Mint report, Adani Enterprise’s share price record is 52 Weeks low today.
Recent News about Adani Enterprises Share
Bribery Allegation Against Company: Recently Adani Group of Company Shares has been affected by allegations about bribery to get sanctions. Which lead to massive fluctuation in share pricing and a market crash of up to 23%.
Decline in Sales: Recent reports suggest Adani Enterprises sales have gone down by 44.7%. Which makes analyst and investors cautious about volatility in financial performance.
Pros and Cons of Adani Enterprises Shares
Before investing in any company investors should know about the pros and cons, which will clarify whether to opt between buy, hold or sell strategies. The pros and cons for Adani Enterprises Shares are as follows,
Pros
- Strong profit report shows effective sales and management strategies being implemented and proves efficient operations.
- Promoter holding of 74.89% increases confidence for investors to buy shares.
Cons
- P/E stands at 92.22 Which is extremely high and suggests overvaluation of shares compared to market trends or actual earnings.
- Despite good profit growth sales have declined massively, which indicates future performance issues.
Recommendation on Buy Hold or Sell
As the current market indicates, it is advised to approach with caution. There are chances of recovery in the long run but recent fluctuations are not indicating good signs for the short term.
As per ICICI securities, investors should hold and wait patiently before making any new investments. Motilal Oswal also suggests long-term recovery and holding shares keeping an eye on recent news. Lastly, HDFC Securities suggests exiting before the stock falls deeper than Rs 2000.
